Traceability System as Perceived-Uncertainty Mitigator for Sustainable Global Food Trade
Abstract
Purpose: The paper validates a model which approximates a relationship between perceived uncertainty of consumers and two antecedents & three mitigators which explain the value of Food Traceability System (FTS).
Methodology/Approach: The proposed model was drawn from Pavlou et al. (2007) study which applied the principal-agent perspectives, and this study contributes to the current literature by improving understanding of the structure of perceived uncertainty of a food product with credence good with this model.
Findings: The study assesses the value and effects of FTS in reducing perceived uncertainty of beef from various origins and suggests important implications for stakeholders in beef sector regarding feasibility and marketability of FTS.
Research Limitation/Implication: Findings evidently reflect the current market circumstance regarding consumers’ concerns and Perceived Uncertainty towards import food products for their credence nature. Different aspects of FTS were found to have the mediating role in reducing Perceived Uncertainty in China and South Korea.
Originality/Value of paper: The study assesses the value and effects of FTS in reducing perceived uncertainty of beef from various origins and suggests important implications for stakeholders in beef sector regarding feasibility and marketability of FTS.
References
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Pavlou, P.A. and Fygenson, M., 2006. Understanding and predicting electronic comer adoption: an extension of the theory of planned behavior. MIS Quarterly, 30(1), pp.115–143.
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Pavlou, P.A., Liang, H. and Xue, Y., 2007. Understanding and mitigating uncertainty in online environments: a principal–agent perspective. MIS Quarterly, 31(1), pp.105–136.
Rousseau, D.M., Sitkin, S.B., Burt, R.S. and Camerer, C., 1998. Not so different after all: A cross-discipline view of trust. Academy of Management Review, 23(3), pp.393–404.
Swan, J.E. and Nolan, J.J., 1985. Gaining customer trust: a conceptual guide for the salesperson. Journal of Personal Selling and Sales Management, 5(2), pp.39–48.
Wang, Z.G., Weng, Y.Z., Yang, Z.G. and Zheng, F.T., 2016. The effectiveness of adopting HACCP system certification in food industry: From the questionnaire of 482 food manufacturing enterprises in China. China Soft Science, 2006(9), pp.69–76.
Aboulnasr, K., 2006. Country of Origin Effects: The Role of Information Diagnosticity, Information Typicality and Involvement. Marketing Management Journal, 16(1), pp.1-18.
Chiles, T.H., and McMackin, J.F., 1996. Integrating variable risk preferences, trust, and transaction cost economics. The Academy of Management Review, 21(1), pp.73–99.
Choe, Y.C., Park J.W., Chung, M. and Moon, J.H., 2009. Effect of the food traceability system for building trust: Price Premium and buying behavior. Information Systems Frontiers, 11(2), pp.167–179.
Ducoffe, R.H., 1996. How consumers assess the value of advertising. Journal of Current Issues and Research in Advertising, 17(1), pp.1-18.
Eisenhardt, K., 1989. Agency Theory: An Assessment and Review, Academy of Management Review, 14(1), pp.57–74.
Garretson, J.A. and Burton, S., 2000. Effects of Nutrition Facts Panel Values, Nutrition Claims, and Health Claims on Consumer Attitudes, Perceptions of Disease-Related Risks, and Trust. Journal of Public Policy and Marketing, 19(2), pp.213–227.
GS1, 2009. Case Study: Food Traceability, GS1 Traceability Implementation between China and France. GS1 AISBL.
Gurhan-Canli, Z. and Maheswaran, D., 2000. Determinants of Country-OfOrigin Evaluations, Journal of Consumer Research 27(1), pp.96–108.
Häubl, G., 1996. A Cross-National Investigation of the Effects of Country of Origin and Brand Name on the Evaluation of a New Car. International Marketing Review, 13(5), pp.76 –97.
Hoch, Stephen J. and Young-Won Ha.1986. Consumer Learning: Advertising and the Ambiguity of Product Experience. Journal of Consumer Research, 13(2), pp. 221–233.
Hong, S.T. and Wyer, R.S. Jr., 1989. Effects of Country of Origin and Product Attribute Information on Product Evaluation: An Information Processing Perspective. Journal of Consumer Research, 16(2), pp.175–187.
Jansen-Vullers, M.H., Van Dorp, C.A. and Beulens, A.J.M., 2003. Managing traceability information in manufacture. International Journal of Information Management, 23(5), pp.395–413.
Jensen, M. and Meckling, W.H., 1972. The Theory of the Firm: Managerial Behavior, Agency Costs and Ownership Structure. Journal of Financial Economics, 3(4), pp.305-360.
Jiang, Z. and Benbasat, I., 2004. Virtual Product Experience: Effects of Visual and Functional Control of Products on Perceived Diagnosticity and Flow in Electronic Shopping. Journal of Management Information Systems, 21(3), pp.111–147.
Kahneman, D. and Tversky, A., 1979. Prospect theory: an analysis of decision under risk. Econometrica, 47(2), pp.263–292.
Kempf, D.S. and Smith, R.E., 1998. Consumer Processing of Product Trial and the Influence of Prior Knowledge: A Structural Modeling Approach. Journal of Marketing Research, 35(3), pp.325 –337.
Kim, R., Chao, Y. and Zhang, Q., (in press) Comparative Analysis of Food Risk Management Quality (FRMQ) of the Public vs. the Private Sectors: Chinese Consumers’ perspectives. International Journal of Economics & Management in Review
Maheswaran, D., 1994. Country of Origin as a Stereotype: Effects of Consumer Expertise and Attribute Strength on Product Evaluations. Journal of Consumer Research, 21(2), pp.354 –365.
Mayer, R.C., Davis, J.H. and Schoorman, F.D., 1995. An Integrative model of Organizational Trust. Academy of Management Review, 20(3), pp.709–734.
Meyer, H., 1999. When the cause is just. Journal of Business Strategy, 20(6), pp.27–31.
Milgrom, P. and Roberts, J., 1992. Economics, organization and management. New Jersey, NJ: Prentice Hall.
Mishra, D.P., Heide, J.B. and Cort, S.G, 1998. Information Asymmetry and Levels of Agency Relationships. Journal of Marketing Research, 35(3), pp.277–295.
Nagashima, A., 1970. A Comparison of Japanese and U.S. Attitudes Toward Foreign Products. Journal of Marketing, 34(1), pp.68 –74.
Pavlou, P.A. and Fygenson, M., 2006. Understanding and predicting electronic comer adoption: an extension of the theory of planned behavior. MIS Quarterly, 30(1), pp.115–143.
Pavlou, P.A. and Gefen, D., 2004. Building effective online marketplaces with institution-based trust. Information Systems Research, 15(1), pp.37–59.
Pavlou, P.A., Liang, H. and Xue, Y., 2007. Understanding and mitigating uncertainty in online environments: a principal–agent perspective. MIS Quarterly, 31(1), pp.105–136.
Rousseau, D.M., Sitkin, S.B., Burt, R.S. and Camerer, C., 1998. Not so different after all: A cross-discipline view of trust. Academy of Management Review, 23(3), pp.393–404.
Swan, J.E. and Nolan, J.J., 1985. Gaining customer trust: a conceptual guide for the salesperson. Journal of Personal Selling and Sales Management, 5(2), pp.39–48.
Wang, Z.G., Weng, Y.Z., Yang, Z.G. and Zheng, F.T., 2016. The effectiveness of adopting HACCP system certification in food industry: From the questionnaire of 482 food manufacturing enterprises in China. China Soft Science, 2006(9), pp.69–76.
Authors
Kim, R. B., Zhang, Q., & Yoon, D. H. (2016). Traceability System as Perceived-Uncertainty Mitigator for Sustainable Global Food Trade. Quality Innovation Prosperity, 20(1), 18–39. https://doi.org/10.12776/qip.v20i1.625
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